Abstract
Efforts to promote renewable energy investment as a key strategy against environmental issues from fossil fuels have raised legal and financial challenges. Governments, adopting policies like feed-in tariffs (FiT), initially attracted foreign investment but later faced resource wastage issues. Canada’s experience with FiT programs has led to investor-State disputes, underscoring the risks of not meeting the Fair and Equitable Treatment (FET) standard under the North American Free Trade Agreement (NAFTA). This article aims to provide recommendations to mitigate the risks of government’s policies that may lead to substantial legal disputes and hinder sustainable energy development. It delves into analyzing FET standards from arbitral practices in enforcing FiT programs, drawing lessons from Canada’s experiences to offer implications for Vietnam.